US$1.67 million lost in border trade with Cambodia

BANGKOK, Feb 6 — Clashes between Thai and Cambodian troops near the disputed Preah Vihear temple have affected trade and tourism businesses in the area, as about Bt50 million ($1.67 million) in revenue would be lost during the first few weeks, said Thanawat Palavichai, director of the Economic and Business Forecast Centre at the University of Thai Chamber of Commerce (UTCC).

Troops of the two countries exchanged gunfire and artillery on Friday and Saturday, causing heavy casualties on both sides, with several houses on the Thai border sustaining damage.

Mr Thanawat said tourism business would be impacted most as between 10 to 20 percent of total tourists were expected to cancel their trips to Angkor Wat, Angkor Thom and Siem Reap inside Cambodia within the first few weeks.

However, trade in other areas along the border between the two countries were not expected to be hurt much, he said.

Most of the border trade is conducted through the Thai border district of Aranyaprathet, as about Bt20 billion (about $670,000) change hands annually, while trade at Trat border province is estimated at Bt10 billion (about 333,000), Mr Thanawat said.

As the cease-fire has been agreed by the two countries, he said the impact is expected to be short-lived and the situation should return to normal soon, he said. (MCOT online news)